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Suppose the Federal Reserve's policy is to maintain low and stable inflation by keeping unemployment at its natural rate. However, the Fed believes that the natural rate of unemployment is 4 percent when the actual natural rate was 5 percent. If the Fed based its policy decisions on its belief, what would happen to the economy? How might the Fed come to realize that its belief about the natural rate was mistaken?
Did you cover all the activities in your discussion? Did you discuss which activities were easy to identify and which were difficult? Did you share what confused you for the activities you found difficult to identify?
Suppose that a group of physicians establishes a joint practice in a remote area. This group provides the only health care available to people in the local community,
Your solution to #7 is monopoly equilibrium price and quantity. It this outcome efficient in terms of maximizing the welfare of society? How might you prove that it is or is not? Calculate the Lerner Index for our monopolist
Imagine you were asked to explain comparative advantage to a group of teens:
question 1using appropriate t-accounts show the impact of the two monetary transactions below questions 1.a and 1.con
The affordable care act madates that everyone buy health insurance or face a penalty. This policy is likely to mitigate the adverse selection problem in health insurance markets, but its likely to add to the moral hazard problem of insurance marke..
gap among the most highly skilled in the population and the least skilled will begin to fall in the near future.
Evaluate the impact competitors and additional economic factors had on the results of the value pricing strategy. What factors contributed to the advantages and disadvantages of this new pricing strategy.
Illustrate factors combined to alter the context of European economics development and how were they evident in the economic problems faced by European nations in the inter war period.
What did each contribute to the political, social and economic changes of the US at the time? What were the benefits and the problems each posed?
work decisions are based upon a comparison of priviate cost and the private benefit. The excludedable benefit of addtional work is measurable as the change in what options - income less transfer payments lost, gross income, net tax payments, adjus..
When measuring the GDP for a particular year, why do economist include only final goods? Why don't they include the value of stocks and bonds sold?
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